For those of you cheering for the AI bubble to pop…
AI investments now accounts for about 40% of the United States’ GDP growth in 2025, and AI companies are responsible for 80% of growth in American stocks.
…are you not scared shitless?
This is not the dotcom bust, and it’s far fucking worse than the 2008 housing crisis. And to think when I was young the Savings and Loan crisis was a big deal. We’re on the edge of Great Depression 2.0.
I personally prefer to rip off the band aid than let it stink and get it infected. I’m scared for the time remaining before the pop. This shit is intolerable. Let it “pop”. Let it burn.
It would be interesting to know how many resources this growth has taken from others places…
As for now it don’t seems that AI has generated a profit for the companies that bring it to the market and it seems it will not do it even in the near future, so I assume the question is: how many years can your economy be sustained by a sector that is not generating any revenue and is absorbing a monstrous amount of resources ?
We are not talking about a single company (like Amazon back at the time), do you really think that even when Ai will start (if ever) to generate profits these will be able to repay all the investements done today ?
FWIW, part of the OpenAI investment process is signing something to say that you understand that you’re unlikely to get any return on your investment and that you consider it more akin to a donation
Not framed like that. You have to acknowledge that investments can depreciate rather than appreciate and that you may lose your money, sure. That’s very different to saying that you acknowledge that you probably will lose your money and that you consider your investment a donation.
I think that this is just a technical difference based on what you are investing into.
A personal bank’s investement is a different thing than a investement in a startup, with different level of risks and revenue.
With a bank investement I get something back, even if less than what I invested. Could OpenAI pay back even half of what received ?
Which send us back to the starting point: what will happen when the VCs will start to ask for their money back or for their share of the revenue ? Inevitably the bubble will pop.
At the moment OpenAI can’t pay back anything, becuase they’re hemmorhaging money. Losing billions a year. And there’s no path to profitability.
That’s why they make investors confirm that they’re considering their investments a donation. That’s also why it’s unusual.
It’s not unusual for the opening phases of big tech companies to be “operate at a massive loss until the competition has gone out of business”, as companies like Netflix and Uber can attest, but it is unusual for that to be done where the investors aren’t expecting to make a profit.
We’re fucked. No point being scared of something we have no control over. A few rich men will come out of this ahead, and the rest of us will fight over the scraps, lose our homes, and starve. 🤷♂️
The best thing about this shit show is el spastico’s trade war having readied other countries for hard times and pushed them to diversify and make new trade deals. The US deserves its suffering completely, and now they will drag the world down less when they shit the bed.
Serious question: what if I am, and have no idea how to prep for it?
My pension and other things are tied up in stocks and such, if there’s a crash coming I’d think cash under the pillow would be better than stocks. But how do you do that, with your pension?
Oh no, we won’t be able to afford houses or rent or save for retirement or- hang on just a second…
Wait, we already can’t do those things, and the last thing I want to do is, once again, validate the existence of people I would prefer to see in little pieces scattered all over the street for all the pain and suffering they’ve caused just to get a little more money on top of their billions.
Ok? And this is relevant how? I’m Canadian, so pretty tied to the US’s bullshit at the moment, but damn where’s this US bravery I keep hearing so much about?
You are right, but you are comparing apples with oranges here, what was the Great Depression economy contraction ? Or what was the unemployment rates in 2008 ?
I think you should only be scared if you own AI stocks and I would guess not a whole lot of common people can even afford to invest in stock. Let those rich idiots lose their money. Maybe they will learn a lesson
Unfortunately, stocks tend to move in sympathy with each other due to various factors, such as large ETFs and algorithmic trading. Natural price action is kind of broken at the moment.
We’re fucked. No point being scared of something we have no control over. A few rich men will come out of this ahead, and the rest of us will fight over the scraps, lose our homes, and starve. 🤷♂️
For those of you cheering for the AI bubble to pop…
…are you not scared shitless?
This is not the dotcom bust, and it’s far fucking worse than the 2008 housing crisis. And to think when I was young the Savings and Loan crisis was a big deal. We’re on the edge of Great Depression 2.0.
I personally prefer to rip off the band aid than let it stink and get it infected. I’m scared for the time remaining before the pop. This shit is intolerable. Let it “pop”. Let it burn.
No.
I’m too fucking stupid.
It would be interesting to know how many resources this growth has taken from others places…
As for now it don’t seems that AI has generated a profit for the companies that bring it to the market and it seems it will not do it even in the near future, so I assume the question is: how many years can your economy be sustained by a sector that is not generating any revenue and is absorbing a monstrous amount of resources ?
We are not talking about a single company (like Amazon back at the time), do you really think that even when Ai will start (if ever) to generate profits these will be able to repay all the investements done today ?
FWIW, part of the OpenAI investment process is signing something to say that you understand that you’re unlikely to get any return on your investment and that you consider it more akin to a donation
I would think that this warning, in a way or another, is true in every kind of investment, even my bank’s personal investment have something like it.
Not framed like that. You have to acknowledge that investments can depreciate rather than appreciate and that you may lose your money, sure. That’s very different to saying that you acknowledge that you probably will lose your money and that you consider your investment a donation.
I think that this is just a technical difference based on what you are investing into.
A personal bank’s investement is a different thing than a investement in a startup, with different level of risks and revenue.
VCs typically want a return on their investments
With a bank investement I get something back, even if less than what I invested. Could OpenAI pay back even half of what received ?
Which send us back to the starting point: what will happen when the VCs will start to ask for their money back or for their share of the revenue ? Inevitably the bubble will pop.
At the moment OpenAI can’t pay back anything, becuase they’re hemmorhaging money. Losing billions a year. And there’s no path to profitability.
That’s why they make investors confirm that they’re considering their investments a donation. That’s also why it’s unusual.
It’s not unusual for the opening phases of big tech companies to be “operate at a massive loss until the competition has gone out of business”, as companies like Netflix and Uber can attest, but it is unusual for that to be done where the investors aren’t expecting to make a profit.
We’re fucked. No point being scared of something we have no control over. A few rich men will come out of this ahead, and the rest of us will fight over the scraps, lose our homes, and starve. 🤷♂️
You have control, you just refuse to risk your lifestyle by exercising it.
Oh true, lemme just saddle up and fix the US economy myself 👍
The best thing about this shit show is el spastico’s trade war having readied other countries for hard times and pushed them to diversify and make new trade deals. The US deserves its suffering completely, and now they will drag the world down less when they shit the bed.
Serious question: what if I am, and have no idea how to prep for it?
My pension and other things are tied up in stocks and such, if there’s a crash coming I’d think cash under the pillow would be better than stocks. But how do you do that, with your pension?
Oh no, we won’t be able to afford houses or rent or save for retirement or- hang on just a second…
Wait, we already can’t do those things, and the last thing I want to do is, once again, validate the existence of people I would prefer to see in little pieces scattered all over the street for all the pain and suffering they’ve caused just to get a little more money on top of their billions.
Guessing you have no idea what the Great Depression was like. My parents grew up in it.
Great Depression: 30% unemployment
2008 crisis: 4.2% economic contraction
If you think modern America is bad now, boy oh boy, you’re about to get an education on how bad it can really get.
Ok? And this is relevant how? I’m Canadian, so pretty tied to the US’s bullshit at the moment, but damn where’s this US bravery I keep hearing so much about?
Deflection isn’t going to solve your problems.
You are right, but you are comparing apples with oranges here, what was the Great Depression economy contraction ? Or what was the unemployment rates in 2008 ?
I think you should only be scared if you own AI stocks and I would guess not a whole lot of common people can even afford to invest in stock. Let those rich idiots lose their money. Maybe they will learn a lesson
Unfortunately, stocks tend to move in sympathy with each other due to various factors, such as large ETFs and algorithmic trading. Natural price action is kind of broken at the moment.
We’re fucked. No point being scared of something we have no control over. A few rich men will come out of this ahead, and the rest of us will fight over the scraps, lose our homes, and starve. 🤷♂️